Do you need a Chief Technology Officer?

Clearly digital knowledge is essential to charity operations. The Charity Digital Skills Report 2024 underscores the point. Twenty-seven percent of charity respondents noted that digital was a top priority, with 76% of charities making progress throughout the year.

 

Adding to the digital strategy, having an eye open for new trends and technologies may also give organisations an edge. The insurance firm Policy Bee UK recommends having foresight, noting for example that “in 2025, blockchain technology could be one of the strategies charities increasingly develop to consolidate support among their donors.”

 

Threading tech, operations, and the frontline of charity services takes a specialist eye. In the private sector, a Chief Technology Officer (CTO) takes up that post.

 

Given the importance of digital across operations, finance, fundraising, and marketing, and more, it seems right to check out whether charities need a CTO.

 

 

What does a CTO do?

 

A CTO oversees technology in an organisation. They typically create and organise most of the digital strategy and may also be responsible for efficiencies.

 

The recruitment site Indeed, offers some insight: “As executives and strategic thinkers, CTOs rely on their knowledge of technology and business acumen to guide their companies with the most up-to-date and proven solutions to improve productivity and efficiency.”

 

The CTO’s core responsibilities may include, according to Forbes Magazine:

• Overseeing hardware, software, and networks of the organisation
• Managing IT staff, training, and recruitment
• Staying relevant in terms of technology trends and strategies
• Devising and implementing longer term digital plans
• Keeping tabs on the competition from a tech perspective

A day in the life of a CTO is dynamic. This person may find themselves planning digital transformations, budgeting, and then reading up on the most pressing technologies for charities. They may be very familiar with AI, cloud computing, digital marketing, digital service delivery, and more.

 

 

Where do the CTO fit in?

 

There’s no rule on who the CTO reports to, but in general, they will be accountable to the Chief Executive Officer. In other instances, the CTO might report into the Chief Information Officer (CIO).

 

What is the difference between a CTO and a CIO? McKinsey helps to separate the two: “…a Chief Information Officer focuses on internal technology, while a Chief Technology Officer focuses on emerging technologies and product strategy.”

 

They note that the CTO’s role is more focused externally. The CTO is the expert that forms the house view on tech, and how it impacts charity operations, fundraising, and efficiency.

 

The CIO role is more internally focused. They drive the IT development, policy, processes, budget, and training. A CIO might also lead change through infrastructure and implementation.

 

Depending on the size of your charity, it might require both roles to be created, or you might combine the two roles into one, with one person taking responsibility for the most important aspects of each for your charity’s purposes.

 

 

When to hire a CTO

 

Charities normally don’t have a CTO, but given how impactful tech can be to fundraising, audience outreach, and transformation, it’s worth considering.

 

Below we outline the key factors that could make a CTO a valuable asset to your organisation.

 

 

When you need a technical advisor

 

The main business of charities is fundraising and helping beneficiaries. Most staff aren’t experts in tech and don’t have the specialist knowledge to assess whether tech is worth the investment. While hiring a CTO for a small, one-off decision might not make sense, there may be greater benefits when there is large-scale change on the horizon or when deciding on significant or regular investments.

 

 

A statement in tech

 

A public facing CTO demonstrates a strong commitment to technological advancement. With the right credentials, putting this person as a face of the charity positions the organisation for potential leadership and innovation. This could bring more confidence when thinking about pushing into AI  and other technologies that could be transformative.

 

 

Organisational alignment

 

There is a time when existing infrastructure, policy, and external developments aren’t aligning. Housing large-scale technical transformation requires a single office to make decisions. For charities with sprawling geographies or other challenges with alignment, having a CTO is a good option. 

 

Scaling for bigger things

 

Forbes Magazine offers a compelling reason for this role. Commenting on start-ups, they say that a CTO role can handle the practical implications of growth. They note: “A CTO can ease your company’s tech transformation, so you don’t go over budget or have to radically adjust your product’s architecture to attract more users.”

 

In the same vein, for charities with fast-growing groups of beneficiaries, a CTO might be required to address how to serve them best.

 

 

Consider if the CTO needs to be C-suite

 

Charities might struggle around the decision of whether to make the CTO part of the leadership team. Our top tip is to compromise. A CTO is just at title. You may find that you can hire a Technology Officer with similar characteristics to run smaller-scale transformations and projects. If you find that the charity needs a digital specialist to operate on a higher leadership level, then promote them, or find a more senior officer.